Impact of Transformational and Transactional Leadership on Work Engagement with the Mediating Impact of Job Satisfaction and Emotional Regulation as a Moderator

Abstract

The textile sector in Pakistan significantly contributes to GDP and employment generation. Job satisfaction and work engagement in this sector are low. We examined the antecedents that directly and indirectly affect job satisfaction and work engagement. Using scales and measures used in past studies, we collected a sample of 287 respondents from four leading textile units in Karachi. We found “transformational leadership affects work engagement and job satisfaction.” Transactional leadership promotes “job satisfaction and work engagement.” Job satisfaction mediates” (i) transformational leadership and work engagement” and (ii) “transactional leadership and work engagement.” In the context of the moderating role, we found emotional regulation insignificantly moderates “transformational leadership and work engagement” and significantly moderates “transactional leadership and work engagement.” Therefore, we recommend that the textile sector use both types of leadership styles. For complex and interrelated jobs, firms may use a transformational leadership style. And for routine tasks, we recommend using transactional leadership styles.